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How should we view efforts to solve social problems by organizations simultaneously committing horrible acts? 

Such organizations have an opportunity to learn. Create even more good, and even more value can follow. 

Consider how a child develops. A toddler’s sayings are sweet but unreal. A friend’s son told his African American father, “Dad, you’re warm because you’re brown.” 

Perspectives of a slightly older child mirrors reality’s harsh-edges. My four-year old saw (caucasian) me hold his Mom’s ethnically Chinese hand and squealed, “Mommy! My skin is closer to your color than Daddy’s! I’m on your team!” 

Eventually, kids learn to impact reality. My six-year old grins hugely and offers “I love you!” when I catch him drawing on the walls. That I Love You makes me laugh and slows me down.  

And when I’m slowed down is when I can best offer perspective: replacing evil deed with good — like drawing on paper rather than walls — delivers the greatest value to everyone involved.

Learning to be socially responsible?

Most business leaders know to butter-up those around them when they misbehave. The mafia are said to provide small favors in their bid to dominate sectors of Italian agriculture. Japanese organized-crime yakuza are more adept at providing relief supplies after natural disasters than the national government. And recent academic research suggests businesses committing fraud, such as Enron, simultaneously increase socially responsible activity. 

Unfortunately, these criminals don’t ask for help ending their life of crime — a fundamental change that would create the greatest value. And the criminals pay. Two to the back of the head. A lifetime behind bars. Their business implodes. 

As a law-abiding leader, consider the lessons. Your organization conducts socially responsible activities and yet your industry probably still fails society in some important way:

In pharmaceuticals, “Fundamental science has seen tremendous advances, but treatments have not.” (Quote from Dr. Christopher Austin, Director of the US National Institute of Health.)  

In food, our understanding of health sciences and nutrition are dazzling, yet we are on track to suffer nine times more deaths from unhealthy food consumption than we did WWII casualties. 

In housing, we know how to build a structure using 3d printing, yet despite more than enough land, we fail to deliver sufficient housing in the places Americans most want to live — in the AI hotspots on our coasts. 

This list of failures in business’s original social responsibilities is far from complete. More than 60% of the US economy is dedicated to industries featuring such fundamental problems. 

Gathering insights, tools, and strategies to fix such core issues is challenging. Transformative, systemic change is necessary, which requires collaboration. Competitive advantage can shift or even disappear in the midst of such shifts. 

However, if fear of change stops you from fixing fundamental problems, take pause. Not acting is also dangerous. Sit like the mafia don in The Godfather offering socially responsible “gestures”, and competitors, customers, and activists will plan your demise. 

Instead, apply cutting-edge digital technology to strategically plan a new, improved world. Solving social problems delivers masses (even trillions of dollars worth) of new value, and your current strengths are likely powerful tools to obtain a share of that value for yourself. 

Enacting meaningful change requires help. You’re no more likely to succeed on your own than a mob boss escaping his life of crime alone. But you might just find life more rewarding when you begin your journey. 

Have you ever considered fixing the destructive social outcomes that accompany your industry, or do you consider that not your job? 

Please share your thoughts in the comments or by sending me an email: info@RodWallacePhD.Com.

Our society cannot just survive. For the sake of our children, it must thrive.

Rod


Dr. Rod Wallace​ is an economist, consultant, and speaker who helps businesses make more money by solving society’s problems. A Fulbright Fellow, he has led multi-organization billion-dollar initiatives worldwide and partnered with a Silicon Valley pioneer to explore the impact of Artificial Intelligence on society. 

Rod speaks about how to integrate social responsibility into business to maximize profit and purpose. He highlights digital technology’s impact on society and the strategies and tools with which business can solve our big, systemic problems.

Contact Rod at ​info@RodWallacePhD.com​.